BUS 303 Midterm Exam Questions and
Answers with Verified Solutions | Latest
Updated 2026
Three components of the a) Foreign sales as percentage of total
Transnationality Index (TNI) sales
that measures the b) Foreign assets as percentage of total
internationalization of assets
companies c) Foreign employees as percentage of
total employees
TNI = (a + b + c)/3
TNI is a measure of a firm's globalization
Starbucks strategy of "global Starbucks plans to expand rapidly over
integration" or "local the next 4 years in China. The company
responsiveness" in its China aims to capture a larger market by going
operations more local and applying its cultural
insights. They are going to introduce new
drinks that appeal to Chinese tastes, and
have larger stores with couches.
, Dunning's OLI framework Ownership Advantages- competitive
advantages of enterprises seeking to
engage in FDI
Local Advantages- existence of raw
materials, low wages and special taxes or
tariffs)
Internationalization advantages
(advantages by own production rather
than producing through a partner
agreement such as joint venture)
In correspondence with Export(Invest in
more capital abroad), Licensing (less
cost-intensive) and FDI(most capital
intensive that a company can choose).
Products that generally Mass market products require more
require more adaptation by adaptation while Elite luxury products do
companies seeking to not
penetrate a market
What circumstances can Selling and charging all products to
reduce the risks from currency consumers globally so they will be
volatility for companies? insulated from currency inflation. In
addition they can relocate manufacturing
facilities to better accommodate their
foreign buyers. Invoicing - invoicing
home currency shifts risk to buyer,
Payment Timing - accelerate or delay
payments (leads & lags), Hedging: Cash
in advance.
What are "conflict minerals?" Tin, tantalum, tungsten and gold
originating from the Democratic Republic
of the Congo
Answers with Verified Solutions | Latest
Updated 2026
Three components of the a) Foreign sales as percentage of total
Transnationality Index (TNI) sales
that measures the b) Foreign assets as percentage of total
internationalization of assets
companies c) Foreign employees as percentage of
total employees
TNI = (a + b + c)/3
TNI is a measure of a firm's globalization
Starbucks strategy of "global Starbucks plans to expand rapidly over
integration" or "local the next 4 years in China. The company
responsiveness" in its China aims to capture a larger market by going
operations more local and applying its cultural
insights. They are going to introduce new
drinks that appeal to Chinese tastes, and
have larger stores with couches.
, Dunning's OLI framework Ownership Advantages- competitive
advantages of enterprises seeking to
engage in FDI
Local Advantages- existence of raw
materials, low wages and special taxes or
tariffs)
Internationalization advantages
(advantages by own production rather
than producing through a partner
agreement such as joint venture)
In correspondence with Export(Invest in
more capital abroad), Licensing (less
cost-intensive) and FDI(most capital
intensive that a company can choose).
Products that generally Mass market products require more
require more adaptation by adaptation while Elite luxury products do
companies seeking to not
penetrate a market
What circumstances can Selling and charging all products to
reduce the risks from currency consumers globally so they will be
volatility for companies? insulated from currency inflation. In
addition they can relocate manufacturing
facilities to better accommodate their
foreign buyers. Invoicing - invoicing
home currency shifts risk to buyer,
Payment Timing - accelerate or delay
payments (leads & lags), Hedging: Cash
in advance.
What are "conflict minerals?" Tin, tantalum, tungsten and gold
originating from the Democratic Republic
of the Congo
